Key Differences between Certificate of Lease and Title Deed in Land ownership

Feature	Certificate of Lease	Title Deed (Certificate of Title)
Tenure Type	Leasehold	Freehold
Ownership Duration	Fixed period (e.g., 99 or 33 years)	Indefinite (perpetual ownership)
Land Ownership	Government (or other entity) owns the land; lessee holds rights for a term	Individual owns the land outright
Document Title	"Certificate of Lease"	"Certificate of Title" (commonly referred to as a "Title Deed")
Common in	Urban areas or land under government authority	Rural areas or land owned by individuals/clans
Renewal?	Yes, lease must be renewed after expiry	Not applicable – ownership is permanent

 

Legal Basis

1. Certificate of Lease
• Issued under the Registered Land Act (now repealed) or Land Registration Act (2012) for leasehold properties.
• The government (or other lessor) retains ultimate ownership.
• Common for land in urban areas where land is leased from county/national government or institutional owners.
2. Title Deed (Certificate of Title)
• Issued under the Land Registration Act or prior statutes for freehold properties.
• The holder has absolute ownership, subject to the law (e.g., planning regulations, public interest).
• More common in rural areas, family-owned land, or land acquired privately with no time limit.

 

Why Some Properties Have One or the Other

1. Nature of the Land Grant

• If the land was alienated (granted) by the government as a lease, the buyer gets a Certificate of Lease.
• If it was alienated as freehold, the owner gets a Title Deed.

2. Urban vs Rural Areas

• Most urban land is under leasehold because it is public land originally allocated by the government.
• Most rural land is freehold, especially ancestral or community land subdivided and registered.

3. Planned Developments

• Apartments/flats or developments on large parcels may be leasehold even if the mother parcel is freehold (e.g., sectional properties).

 

Can a Leasehold Be Converted to Freehold?

Yes, in some cases. A leaseholder can apply to convert to freehold tenure, especially if:

• The land is not reserved for public use.
• The government allows it under Land Act provisions.
• The lease has expired or is about to expire.

However, not all leasehold land is eligible for conversion.

 

Conclusion

• Title Deed = Freehold = Permanent ownership
• Certificate of Lease = Leasehold = Time-limited ownership

The type of document you get depends on how the land was originally classified, who owns the reversionary interest (the ultimate landowner), and where the land is located.

 

Disclaimer: This article is for informational purposes only and does not constitute legal advice.